As one of the most recognisable watch brands in the world, Rolex has maintained a strong presence not only as a timepiece but also as an investment.
But, with evolving market trends and increasing interest in alternative investments, many wonder if a Rolex still holds its value over time.
Why Rolex Watches Have Been a Strong Investment
The brand prestige, timeless design and limited supply are some of the reasons why Rolex timepieces have been a strong investment to date.
Over the years, Rolex has cultivated a reputation that transcends fleeting fashion trends. The company’s strategy of producing a limited number of watches each year drives high demand, particularly for popular models, creating scarcity in both the new and pre-owned markets.
A Look at Market Trends in Rolex Prices
There has been a significant growth in Rolex prices in recent years, both in the new and pre-owned markets. This growth has been driven by several factors:
Increasing model scarcity
Certain Rolex models are very difficult to come by.
As a result, high-demand models, such as the Submariner, Daytona, and GMT-Master II, have become harder to purchase at retail, leading to a surge in prices on the second-hand market. In some instances, these prices even exceed the original prices.
Economic uncertainty
Economic uncertainty and global events, such as the COVID-19 pandemic, have also influenced Rolex prices. Many buyers view luxury watches as a safe asset, driving demand during times of market instability.
Alternative investments
The growing interest in alternative investments, such as collectables, has further fueled price hikes in the pre-owned Rolex market. While prices have fluctuated, particularly during economic downturns, Rolex has generally maintained an upward trend, with certain vintage and limited-edition models seeing substantial appreciation in value.
Factors That Could Influence Future Value
Next, let’s look to the future. Here are some of the factors that could end up impacting the price of Rolex timepieces going forward.
- Growing Demand for Luxury Goods: As global wealth increases, particularly in emerging markets, the demand for high-end luxury goods, including Rolex watches, is expected to rise.
- Rolex’s Production Strategy: Rolex maintains its exclusivity by limiting production, which creates scarcity and drives up prices.
- Economic Conditions: Economic trends such as inflation, interest rates and market stability will play a role in influencing luxury watch prices.
- Competition from Other Brands: The luxury watch market is competitive, with brands like Patek Philippe, Audemars Piguet and Omega also commanding attention.
- Technological Innovations: Advances in watch technology, whether through smartwatches or high-end mechanical innovations, may influence market trends. Rolex’s ability to integrate new technologies while maintaining its classic appeal will play a role in preserving future value.
- Vintage and Collectible Market: Interest in vintage and discontinued models continues to grow, with some rare models appreciating significantly. The future of this market, especially as younger generations begin to collect, could see specific models becoming even more valuable over time.

The Risks of Investing in Rolex Watches
Investing in Rolex watches can be lucrative, but like any investment, it comes with certain risks. Here are some key risks to consider:
- Market Volatility: While Rolex watches have historically appreciated in value, the luxury watch market is still subject to fluctuations.
- Authenticity Concerns: The market for counterfeit Rolex watches is vast, and distinguishing a fake from an authentic Rolex can be difficult.
- High Entry Cost: Rolex watches come with a high upfront cost, particularly for popular models. This can be a barrier for investors, and there is always a risk that the value of the watch won’t increase as expected or may take many years to appreciate.
- Condition and Maintenance: The condition of a Rolex watch is directly linked to its resale value. Watches that are scratched, damaged, or have undergone non-Rolex servicing may lose value.
- Liquidity Issues: While Rolex watches are generally considered liquid assets, there can be times when selling a watch quickly may prove difficult, especially if the market is slow or if the specific model isn’t in high demand.
- Fake Documentation: Even if the watch itself is genuine, fake papers or replacement parts can reduce the value of a Rolex.
- Opportunity Cost: Investing in a Rolex watch ties up capital that could potentially be used for other investments with higher returns. Watches, while valuable, do not generate income, and their appreciation can be slow compared to other investment options like stocks, real estate, or bonds.
Tips for Investing More Wisely
If you feel that a Rolex watch is something you would still like to consider investing in, here are some tips to guide you.
- Look for Reputable Dealers: Always purchase from authorised Rolex dealers or trusted pre-owned watch specialists.
- Research Popular and Rare Models: Certain Rolex models appreciate more than others, such as the Submariner, Daytona, and GMT-Master II. Limited editions, discontinued models and watches with rare dial features tend to have higher investment potential.
- Focus on Condition and Originality: The condition of a Rolex timepiece significantly affects its value. Look for watches that are in excellent or near-mint condition, with minimal wear and tear.
- Keep the Box and Papers: A Rolex with its original box, papers and serial numbers holds more value. These documents provide proof of authenticity and origin.
- Consider Vintage vs. Modern Models: Vintage Rolex watches, especially well-preserved ones, can appreciate more dramatically due to their rarity. However, newer models, particularly in high demand and short supply, also offer strong investment opportunities.
- Monitor Market Trends: Stay informed about luxury watch market trends, including shifts in demand, upcoming model releases and changes in the broader economy.
- Plan for Long-Term Investment: Rolex watches tend to appreciate over the long term, so patience is key. Don’t expect immediate gains.
- Verify Authenticity Before Purchase: If buying pre-owned, have the watch inspected by a professional to verify its authenticity.
Final Thoughts
Overall, Rolex is still a brand worth investing in if you know what to look out for and are willing to be in it for the long term.
If you need any help evaluating a pre-owned Rolex timepiece, contact Martins of Glasgow here.